Incorrect Account Status and Insurance Cancellation

I regret the day I chose to finance my car through Absa. I’ve just received an SMS stating that my account will be handed over for collection, which is extremely concerning because I have paid my full monthly instalment of R5,300 in cash excluding the R1,050 insurance amount this month.

This issue started two months ago when I requested that Absa cancel the insurance that was added to my account, as I had taken out my own insurance at a much lower cost. I was asked to provide proof of my new insurance, which I did. However, I was told that the policy was not yet active, and I should send proof again after the first premium was successfully debited. In the meantime, I was informed that the full amount (including the old insurance premium) would still be collected, and that I would be refunded once proof of my active policy was received.

I asked at the time how I was expected to afford paying for two insurance policies simultaneously, and I never received a clear or fair response. Now that my new insurance has gone through, I paid the vehicle instalment in cash this month, excluding the insurance amount, since I now have cover with Prime Meridian Direct.

Despite this, I am now being told that my account will be handed over for collection. On what grounds? I am not in arrears and have made my full vehicle payment. I’ve submitted proof of my new insurance multiple times. If Absa could previously confirm I didn’t have valid cover, surely you can now confirm that I do.

To add to my frustration, one of the main reasons I cancelled the Absa provided insurance is because the customer service was terrible. On one occasion, I waited on hold for 49 minutes before giving up. What is the point of paying for a service that is not available when you need it?

Please resolve this urgently. Cancel the old insurance on my account I am now fully insured through Prime Meridian Direct. I expect this matter to be corrected immediately and for my account status to be updated to reflect the correct, current information.